Combining strong candlestick signals at pattern breakouts allows the candlestick investor to dramatically improve being in big trades. The Doji sandwich has a very simple trading strategy. The Doji rule! A Doji, following a large candle, opening positive the next day produces a high probability of a Doji sandwich signal. Knowing the third day will be the same magnitude as the day prior to the Doji identifies when a resistance level is not going to act as a resistance level. This allows the candlestick investor to enter a trade early knowing that everybody else watching that resistance level will start buying once they see the resistance level is not acting as resistance anymore. This allows the candlestick investor to anticipate a pattern breakout.
Utilizing the combination of candlestick signals at pattern breakouts puts investors funds in situations that are not only producing a bullish trade but a very strong bullish trade. This greatly improves an investor’s probabilities of being in the right trade at the right time and participating in big profit potential. Currently, biotech’s are still producing good strong price moves. The Candlestick Forum RARE process allows the candlestick investor to research the news that causes the breakout and evaluate whether that news will produce further upside potential. This was illustrated today in VSTM, breaking out of a fry pan bottom type pattern. The news was that they were approved for cancer curing techniques for ovarian cancer. The breakout was the alert, the news has prospects of making the price move much greater. Everything related to candlestick analysis is merely common sense put into a graphic depiction. Mark your calendars, June 12 will be a Saturday training on how to identify when a breakout is about to occur and what to do after the price move does occur.
Chat session tonight at 8 PM ET.
Good investing,
The Candlestick Forum team
